For the first time, a European shopping street tops the global ranking of the most expensive retail locations: Milan’s Via Montenapoleone has overtaken New York’s Upper 5th Avenue and secures first place, with annual prime rents of 20,000 euros per square metre.
This is according to the 34th edition of the report ‘Main Streets Across the World’ by Cushman & Wakefield, one of the world’s leading property consultancies.
London’s New Bond Street also displaced Hong Kong’s Tsim Sha Tsui to take 4th place. As in 2023, Paris’ Avenue des Champs-Élysées completes the top 5 of the world’s most expensive main streets.
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With Zurich’s Bahnhofstrasse (7th place) and Vienna’s Kohlmarkt (10th place), two more European cities made it into the top 10. In the underlying country ranking, Germany improved slightly, with Munich’s shopping street Kaufinger/Neuhauser Straße moving up to 13th place (2023: 14th).
‘Despite challenging market conditions and the dynamic growth of e-commerce, demand for physical retail space in prime locations remains undiminished,’ says Andreas Siebert, Head of Retail Investment Germany at Cushman & Wakefield.
‘These internationally renowned streets offer brands the opportunity to strengthen their presence and optimise the customer experience. Luxury and mass-market brands are increasingly relying on physical stores as extensions of their brand and showcases for exclusive products.’
Global Results and Changes
IIn this year’s global ranking, Via Montenapoleone in Milan takes the top spot with an annual rent of 20,000 euros per square metre, reflecting an 11% growth growth of 11 percent compared to the previous year.
New York’s Upper 5th Avenue, which previously led the ranking, drops to second place with a stable annual rent of EUR 19,537 per square metre.
London’s New Bond Street rose to third place with a rental growth of 13%, reaching EUR 17,210 per square metre annually, while Tsim Sha Tsui in Hong Kong slipped to fourth place (EUR 15,697 per square metre).
Avenue des Champs-Élysées in Paris maintained its position at fifth place, as in 2023, with a 10% increase in rent to €12,519 per square metre annually.
Source: Cushman & Wakefield
